The Ku Endowment Charitable Gift Fund

“The directors of the KU Endowment Charitable Gift Fund (The "Fund") serve in a voluntary capacity and receive no compensation. The fund currently has no paid employees; however, its officers are also officers of, and receive compensation from, The Kansas University Endowment Association ("KU Endowment"). The bylaws of the fund outline the following policy, which would apply if any compensation were to be paid in the future: officers and employees of the fund shall receive reasonable and necessary salaries for their services. Such salaries shall be determined by the compensation committee and be confirmed by the board. The board may adjust salaries determined by the compensation committee whenever, in its judgment, the best interests of the fund would be served thereby. The compensation committee must consist of individuals who (I) do not have a conflict of interest with respect to compensation arrangements or transactions; (II) have obtained and relied upon appropriate data as to comparability prior to making any determination, and (III) adequately document the basis for committee decisions concurrently with making determinations. The committee is directed to act in a manner that will avoid the intermediate sanctions provisions of the Internal Revenue Code.”

“The Kansas University Endowment Association, a Kansas not-for-profit corporation, is the only voting member.”

“The Kansas University Endowment Association, as the sole voting member, reserves the power to elect or remove directors.”

“Any of the following actions to be taken by the board of directors of The KU Endowment Charitable Gift Fund (the "Fund") shall be subject to the approval of the member: (A) election or removal of directors; (B) amendment of the articles of incorporation; (C) amendment of the bylaws; (D) liquidation or dissolution of the fund, or disposition of all, or substantially all, of the assets of the fund, or any merger of the fund into or with another corporation.”

“Upon completion of review by an external tax preparer, a draft copy of Form 990 is provided to the directors and officers to review and recommend revisions. Any such recommendations are provided in time to make the necessary revisions before transmitting the return to the internal revenue service.”

“The directors and officers of The KU Endowment Charitable Gift Fund (the "Fund") are also trustees of the supported organization, The Kansas University Endowment Association ("KU Endowment"), which by contract, manages the accounting of the organization. The Fund has adopted and operates under the same conflict of interest policy as KU Endowment, which is as follows: 1. Duty to disclose In connection with any actual or possible conflicts of interest, an interested person must disclose the existence and nature of his or her financial interests to the directors and members of committees with board-delegated powers considering the proposed transaction or arrangement. 2. Determining whether a conflict of interest exists After disclosure of the financial interest, the interested person shall leave the portion of the trustee, executive committee or committee meeting during which the financial interest is discussed and voted upon by the remaining trustees, executive committee members or committee members, as the case may be, which other trustees or members shall decide if a conflict of interest exists. 3. Procedures for addressing the conflict of interest (A) The trustees, executive committee or committee, as the case may be, shall comply with all applicable laws and KU Endowment policies in considering a transaction or arrangement between KU Endowment in which it has been determined that a conflict of interest exists. (B) After exercising all due diligence required by applicable law or KU Endowment's policies and any additional due diligence that may be deemed appropriate under the circumstances by the disinterested trustees, executive committee members or committee members, as the case may be, the executive committee or committee shall determine by a majority vote of the disinterested members whether to enter into the transaction or arrangement taking into account whether the transaction or arrangement is in KU Endowment's best interest and for its own benefit and whether the transaction is fair and reasonable to KU Endowment. 4. Violations of the conflict of interest policy (A) If the executive committee or a standing committee has reasonable cause to believe that a trustee has failed to disclose actual or possible conflicts of interest, it shall inform the trustee of the basis for such belief and afford the trustee an opportunity to explain the alleged failure to disclose. (B) If, after hearing the response of the trustee and making such further investigation as may be warranted in the circumstances, the executive committee or a standing committee determines that the trustee has in fact failed to disclose an actual or possible conflict of interest, it shall take appropriate disciplinary and corrective action.”

“The KU Endowment Charitable Gift Fund's governing documents, conflict of interest policy and financial statement are available upon request at 1891 Constant Avenue, Lawrence, KS 66047, 785-832-7400. The information may be mailed or sent electronically if requested.”

“Change in value of life income gifts - -42222;”